BIP 91 is locked in
Lately, Bitcoin has experienced a sharp decrease of its price due to technical constraints. The Segwit2x update, scheduled for August 1st of this year could eventually scatter its value. Fortunately, the Bitcoin Improvement Proposal (BIP) 91 update has been locked-in last week eliminating this risk.
BIP 91 has been partially designed to avoid a bitcoin split while bringing it one step closer to the main goal, BIP 141 (or SegWit).
What is BIP 91?
It’s a Bitcoin Improvement Proposal proposed by James Hilliard. It will increase the block size to 2Mb from the actual 1Mb in about 3 months without splitting the cryptocurrency. Furthermore, it is backed by a number of Bitcoin companies and mining pools. It is also compatible with BIP 148, another strategy to meet the BIP 141 (Segwit) threshold indirectly.
At this point, all blocks that don’t signal BIP 141(Segwit) will be rejected from the network. A threat that may never be applied since 100% of the last blocks mined is in compliance with the BIP 91 requirements. More importantly, this lock-in brings Bitcoin one step closer to having Segwit activated on the due date.
August 1st is coming up
Bitcoin and the other altcoins have recovered from July 14th’s dip caused by fears of the blockchain spitting. However, August 1st is still ahead from us and nobody knows exactly what will happen after that.
The prediction is if SegWit activates, the Bitcoin market capitalization could skyrocket followed by all the other cryptocurrencies. It could also go sour if investors don’t feel it anymore. If it’s the case, are they going to turn to other currencies or even totally leave the cryptocurrency community?
Well, since BIP 91’s activation last week, we entered a new era with a lot of expected uncertainties down the road. Segwit a.k.a the lighting network will give us some answers once locked-in … or not.